The National Bureau of Statistics (NBS) reports a decrease in Nigeria’s inflation rate, which dropped to 33.30% in July, marking a significant change in the country’s economic indicators.
ccording to a recently released report from the National Bureau of Statistics (NBS), Nigeria’s headline inflation rate dropped from 34.19% in June 2024 to 33.40% in July 2024.
The latest occurrence indicates the initial development since December 2022, during which it previously descended to a rate of 21.34 percent.
The Bureau’s CPI report for July 2024 revealed that the headline inflation rate declined by 0.79 percentage points from June of the same year.
Analysing the data indicated that compared to July 2023, where it remained at 24.08 percent, there was a surge of 9.32 percentage points in the year-on-year rate.
In July 2024, there was a rise in the year-on-year headline inflation rate when compared to the corresponding month of the prior year.
The July 2024 headline inflation rate showed a minor decrease to 2.28% compared to June’s figure of 2.31%, presented on a monthly basis.
According to the report, the headline inflation rate in July 2024 decreased from 34.19% in June 2024 to reach a level of 33.40%. The data indicates that there was an improvement of -0.8 percentage points between these two months for the said metric.
Compared to the rate of 24.08 per cent recorded in July 2023, the headline inflation rate on a year-on-year basis increased by 9.32 percentage points in July 2024, indicating an upward trend for that month relative to its preceding year’s equivalent period (July 2023).
In July 2024, the Urban inflation rate experienced a year-on-year increase of 9.94% points to reach 35.77%, compared to the previous year’s record of 25.83%. The month-on-month comparison showed a negligible decrease from June’s figure (2.46%) with only a difference of -0.003%. Meanwhile, the twelve-month average for urban inflation reached an all-time high in July at 32.%89%, marking another significant jump by10 .02% points up from last year’s record (22.&87%).
Inflation in rural areas.
Compared to July 2023, the Rural inflation rate in July 2024 climbed by a staggering 8.77% points to reach an unprecedented level of 31.26% on a year-on-year basis. On a monthly comparison, however, it dipped slightly by just -0.07%, coming in at around 2.10% for the month when compared with June’s figure of approximately-2 .17%.
In July 2024, the Rural inflation rate had an average of 28.86% over twelve months.
In comparison to the 21.04% noted in July 2023, this represented a surge of 7.82%.
Inflation in the food sector.
In July 2024, there was a year-on-year Food inflation rate of 39.53%, which marks an increase of 12.55% compared to the rate observed in July 2023 (26.98%). The surge in Food inflation on an annual basis can be attributed to higher prices for items such as Semovita, Prepacked Yam Flour and Wheat Flour (classified under Bread and Cereals) along with Yam and Irish potatoes.
Some examples of tubers in the Potatoes, Yam & Other Tubers Class include potatoes and water yam. The Oil & Fats Class includes items like groundnut oil and palm oil. For beverages in the Coffee, Tea & Cocoa Class, options such as Milo, Bournvita, Ovaltine are available.
In July 2024, the food inflation rate decreased by 0.08% to reach a rate of 2.47% when compared to June’s recorded rate of 2.55%. This decline can be attributed to lower prices for various items such as Tin Milk and Baby Powdered milk under the Milk, Cheese & Egg Class category; Mudfish fish, Fresh fish (Obokun), Snail among others in Fish Class; Date Palm fruit (Debenu), Watermelon under Bread and Cereals class alongside Garri and Akpu(fufu) ; Exercise books , Textbooks etc from Books&Stationaries class together with Turkey meat,and Minced Pork amongst Meat Class products .
From July 2023 to June 2024, the average annual Food inflation rate rose by a significant margin of 11.90%, reaching an overall yearly increase of 36.36%. This represents a noteworthy deviation from the preceding twelve-month period’s average annual change (24.46%).
Peoplesmind
